Dean Sergio Ceniza

Discussion will cover:

ü Concept of Money Laundering

ü Evolution of the Philippine AML Law

ü Significant Changes in the Phil. AML Law

ü Salient Features of the Phil. AML Law

ü Concluding Statement
Concept of Money Laundering

Money Laundering is a crime whereby the proceeds of an

unlawful activity are transacted, thereby making them appear to
have originated from legitimate sources.

Money Laundering has been generally defined as “any act or

attempted act to conceal or disguise the identity of illegally
obtained proceeds so that they appear to have originated from
legitimate sources.”

(Rep. of the Phils. represented by the AMLC vs. Hon. Antonio Eugenio,
Jr., et. al., G.R. No. 174629, Feb. 14, 2008)
Evolution of Philippine Law Against
Money Laundering and Terrorists
Financing
 Evolution of Philippine
AML Law and CTF

R. A. No. 9160

The first and original version of the Philippine Anti-

Money Laundering Law is also known as “The Anti-Money
Laundering Act of 2001”.
 Evolution of Philippine
AML Law and CTF

R. A. No. 9194

The first amendment to R.A. 9160 which was signed into law
on March 7, 2003. It took effect on March 23, 2003.

The AMLC issued the revised Implementing Rules and

Regulations on AMLA which took effect on Sept. 7, 2003.
 Evolution of Philippine
AML Law and CTF

On June 6, 2012, Congress passed two laws

R. A. No. 10167 entitled “An Act to Further Strengthen

the Anti-Money Laundering Law, Amending for the
Purpose Secs. 10 and 11 of R. A. No. 9160”

R. A. No. 10168 is known as “The Terrorism Financing

Prevention and Suppression Act of 2012″
 Evolution of Philippine
AML Law and CTF

ØThese laws served as further amendments to R. A.

No. 9160 and were signed into law by Pres. Benigno
S. Aquino III on June 18, 2012.

ØThese laws became effective on July 5, 2012.

 Evolution of Philippine
AML Law and CTF

Ø On Feb. 6, 2013, Congress enacted R. A. No. No.

10365 entitled “An Act Further Strengthening the
AMLA, amending for the purpose R. A. No. 9160,
otherwise known as the “AMLA of 2001″, as
amended.

Ø It was signed into law by Pres. Benigno S. Aquino

on Feb. 15, 2013 and became effective on Mar. 7,
2013.
 Evolution of Philippine
AML Law and CTF

Ø R. A. No. 10927 declared casinos, including

internet and ship-based casinos, with respect to
their casino cash transactions related to their
gaming operations, as “covered persons”.
 Evolution of Philippine
AML Law and CTF

Ø On January 29, 2021, Congress enacted R. A. No. 11521

which served as the latest amendment to the Philippine
Anti-Money Laundering Law.
Significant Changes in the
Phil. AMLA & CTF
1) On the concept of “Covered Institution”

Under Sec 3 (a) of R.A. No. 9160, a “covered institution” refers

to:

(1) banks, non-banks, quasi-banks, trust entities,

foreign exchange dealers, pawnshops, money changers,
remittance and transfer companies and other similar entities
and all other persons and their subsidiaries and affiliates
supervised or regulated by the BSP;

(2) insurance companies, pre-need companies and all

other persons supervised or regulated by the Insurance
Commission;
 Covered Person
(3) (i) securities dealers, brokers, salesmen, investment
houses and other similar persons managing
securities or rendering services as investment
agent, advisor, or consultant

(ii) mutual funds, close-end investment companies,

common trust funds, and other similar persons, and

(iii) other entities administering or otherwise dealing in

currency, commodities or financial derivatives
based thereon, valuable objects, cash substitutes
and other similar monetary instruments or property
supervised or regulated by the SEC;
 Covered Person

Under R.A. 10365, Sec. 3(a) of R.A. No. 9160 was

amended to read as follows:

(a) ‘Covered persons’, natural or juridical, refer to:

(1) banks, non-banks, x x x … supervised or

regulated by the BSP ;

(2) insurance companies xxx supervised or

regulated by the Insurance Comm;

(3) securities dealers, brokers x x x

supervised or regulated by the (SEC);
 Covered Person

(4) jewelry dealers in precious metals, who, as a business,

trade in precious metals, for transactions in excess of One
Million pesos (P1,000,000.00);

(5) jewelry dealers in precious stones, who, as a business,

trade in precious stones, for transactions in excess of One
million pesos (P1,000,000.00);
 Covered Person

(6) company service providers that provide

any of the following services to third
parties:

(i) acting as a formation agent of

juridical persons;

(ii) acting as a director or corporate

secretary of a company, a partner of
a partnership, or a similar position
in relation to other juridical persons;
 Covered Person

(iii) providing a registered office

business address; and

(iv) acting as (or arranging) for another

person to act as a nominee
shareholder for another person;
and
 Covered Person
(7) persons who provide any of the following services:

i) managing of client money, securities or other

assets;
ii) management of bank, savings or securities
accounts;

iii) organization of contributions for the creation,

operation or management of companies; and
iv) creation, operation or management of juridical
persons or arrangements, and buying and
selling business entities.
 Covered Person

Notwithstanding the foregoing, the term ‘covered persons’ shall

exclude lawyers and accountants acting as independent legal
professionals in relation to information concerning their clients or where
disclosure of information would compromise client confidences or the
attorney-client relationship:

Provided, That these lawyers and accountants are authorized to

practice in the Philippines and shall continue to be subject to the
provisions of their respective codes of conduct and/or professional
responsibility or any of its amendments.”
 Covered Person

Under R. A. No. 10927, Sec. 3(a) of R.A. No. 9160

was amended to read as follows:

(a) ‘Covered persons’, natural or juridical,

refer to:
“x x x
“(8) casinos, including internet and ship-based
casinos, with respect to their casino cash
transactions related to they gaming operations.
 Covered Person

Under R. A. No. 11521, Sec. 3(a) of R.A. No. 9160

was amended to read as follows:

(a) ‘Covered persons’, natural or juridical,

refer to:
xxx

"(9) Real estate developers and brokers;

"(10) Offshore gaming operation, as well as their

service providers, supervised, accredited or
regulated by PAGCOR or any government agency;
2) On the concept of “covered transaction”

Under Sec 3 (b) of R.A. 9160, a “covered

transaction” refers to:

“a single, series, or combination of transactions

involving a total amount in excess of PhP4,000,000.00 or
an equivalent amount in foreign currency based on the
prevailing exchange rate within five (5) consecutive
banking days xxxx .
 Covered Transaction
Under R.A. 9194, Sec. 3(b) of R.A. No. 9160 was amended
to read as follows:

'Covered transaction' is a transaction in cash or

other equivalent monetary instrument involving a total
amount in excess of Five Hundred Thousand Pesos
(P500,000.00) within one (1) banking day."
 Covered Transaction
Under R. A. 10927, Sec. 3(b) of R.A. No. 9160 was
amended to read as follows:

“(b) ‘Covered transaction’ is a transaction in

cash or other equivalent monetary instrument
involving a total amount in excess of Five hundred
thousand pesos (₱500,000.00) within one (1)
banking day; for covered persons under Section
3(a)(8), a single casino transaction involving an
amount in excess of Five Million Pesos
(₱5,000,000.00) or its equivalent in any other
currency.
 Covered Transaction

Under R.A. 11521, Sec. 3(b) of R.A. No. 9160 was

amended to read as follows:

"(b) 'Covered transactions' is a transaction in cash or

other equivalent monetary instrument involving a total
amount in excess of P500,000 within one (1) banking
day; for covered persons under Sec. 3(a)(8), a single
casino cash transaction involving an amount in excess
of P5,000,000 or its equivalent in any other currency.
"For covered persons under Sec. 3(a)(9), a single
cash transaction involving an amount in excess of
P7,500,000 or its equivalent in any other currency.
3) On the concept of Suspicious Transaction
R.A. 9160 does not have a provision on “Suspicious
transactions”.

Under R.A. 9194, Sec. 3 (b) of R.A. No. 9160 was amended to
read as follows:

"(b-1) 'Suspicious transaction' are transactions with covered

institutions, regardless of the amounts involved, where any
of the following circumstances exist:

1. There is no underlying legal or trade obligation,

purpose or economic justification;

2. The client is not properly identified;

 Suspicious Transaction

Under R.A. 9194, Sec. 3 (b) of R.A. No. 9160

was amended to read as follows:

"(b-1) 'Suspicious transaction' are transactions with

covered institutions, regardless of the amounts
involved, where any of the following circumstances
exist:

1. There is no underlying legal or trade

obligation, purpose or economic justification;

2. The client is not properly identified;

 Suspicious Transaction

3. The amount involved is not commensurate with the

business or financial capacity of the client;

4. Taking into account all known circumstances, it may

be perceived that the client’s transaction is structured in
order to avoid being the subject of reporting
requirements under the law;
 Suspicious Transaction

5. Any circumstance relating to the transaction which is

observed to deviate from the profile of the client and/or
the client’s past transactions with the covered institution;

6. The transaction is in any way related to an unlawful

activity or offense that is about to be, is being or has
been committed; or

7. Any transaction that is similar or analogous to any of

the foregoing."
4) On the concept of “Unlawful Activity”

Under Sec 3 (i) of R.A. 9160, an “unlawful

activity” refers to any act or omission or series or
combination thereof involving or having relation to
the following:

(1) Kidnapping for ransom;

(2) Violation of R.A. No. 6425, or the Dangerous

Drugs Act of 1972;

(3) Violation of R.A. No. 3019, or the Anti-Graft and

Corrupt Practices Act;
 Unlawful Activity

(4) Plunder under R.A. No. 7080, as amended;

(5) Robbery and extortion under the RPC, as amended;

(6) Jueteng and Masiao;

(7) Piracy on the high seas ;

 Unlawful Activity

(8) Qualified theft;

(9) Swindling;

(10) Smuggling;

(11) Violation of R. A. No. 8792 or the Electronic

Commerce Act of 2000;
 Unlawful Activity

(12) Hijacking and other violations under R.A. No. 6235;

destructive arson and murder, including those
perpetrated by terrorists against non-combatant
persons and similar targets;

(13) Fraudulent practices and violation of the Securities

Regulation Code of 2000;

(14) Felonies or offenses of a similar nature that are

punishable under the penal laws of other
countries.
 Unlawful Activity
Under R.A. No.10365, Sec. 3(i) of R.A. No. 9160 was
amended to read as follows:

“Unlawful activity” refers to any act or omission or

series or combination thereof involving or having direct
relation to the following:

1) Kidnapping for ransom;

2) Violation of the Comprehensive Dangerous Drugs

Act of 2002;
 Unlawful Activity
3) Violation of the Anti-Graft and Corrupt Practices Act;

4) Plunder under R.A. No. 7080, as amended;

5) Robbery and extortion;

6) Jueteng and Masiao;

7) Piracy on the high seas;

8) Qualified theft;
 Unlawful Activity
9) Swindling and Other Forms of Swindling;

10) Smuggling;

11) Violations of R.A. No. 8792 or the Electronic

Commerce Act of 2000;

12) Hijacking and other violations under R. A. No. 6235;

destructive arson and murder;

13) Terrorism and conspiracy to commit terrorism

under R.A. No. 9372;
 Unlawful Activity

14) Financing of terrorism under the Terrorism

Financing Prevention and Suppression Act of 2012:

15) Bribery and Corruption of Public Officers under the

RPC, as amended;

16) Frauds and Illegal Exactions and Transactions

under the RPC, as amended;

17) Malversation of Public Funds and Property under

the RPC, as amended;
 Unlawful Activity
18) Forgeries and Counterfeiting under the RPC, as
amended;

19) Violations of the Anti-Trafficking in Persons Act;

20) Violations of the Revised Forestry Code of the

Philippines, as amended;

21) Violations of R. A. No. 8550 or the Philippine

Fisheries Code of 1998;

22) Violations of R.A. No. 7942 or the Philippine Mining

Act of 1995;
 Unlawful Activity
23) Violations of Sec 27 of the Wildlife Resources
Conservation and Protection Act;

24) Violation of the National Caves and Cave

Resources Management Protection Act;

25) Violation of the Anti-Carnapping Act of 2002;

26) Violations of the decree Codifying the Laws on

Illegal/Unlawful Possession, Manufacture, Dealing
In, Acquisition or Disposition of Firearms,
Ammunition or Explosives;
 Unlawful Activity

27) Violation of the Anti-Fencing Law;

28) Violation of R.A. No. 8042 or the Migrant Workers

and Overseas Filipinos Act of 1995, as amended;

29) Violation of R.A. No. 8293 or the Intellectual

Property Code of the Philippines;

30) Violation of Sec. 4 of R. A. No. 9995 or the Anti-

Photo and Video Voyeurism Act of 2009;
 Unlawful Activity

(31) Violation of R.A. No. 9775 or the Anti-Child

Pornography Act of 2009;

(32) Violations of R.A. No. 7610 or the Special Protection

of Children Against Abuse, Exploitation and
Discrimination;

(33) Fraudulent practices and violations under R.A.

No. 8799 or the Securities Regulation Code of 2000;

(34) Felonies or offenses of a similar nature that are

punishable under the penal laws of other countries.
 Unlawful Activity

Under R.A. No. 11521, Sec. 3 (i) of R.A. 9160 was amended to read:

"(i) 'Unlawful activity' refers to any act or omission or series or

combination thereof involving or having relation to the following:

"(1) x x x;

"(33) Fraudulent practices and violations under R. A. No. 8799, or the "The
Securities Regulation Code of 2000;
 Unlawful Activity

"(34) Violation of Sec. 9 (a)(3) of R. A. No. 10697, or the "Strategic Trade

Management Act", in relation to the proliferation of weapons of mass
destruction and its financing;

"(35) Violation of Sec. 254 of the NIRC of 1997, as amended, where the
deficiency basic tax due in the final assessment is in excess of Twenty-
five million pesos (P25,000,000.00) per taxable year, for each tax type
covered and there has been a finding of probable cause by the
competent authority…

"(36) Felonies and offenses of a similar nature that are punishable under the
penal laws of other countries.
 5) On the Definition of Money Laundering

Under Sec. 4 of R.A. 9160, money laundering has been defined

as:

“a crime whereby the proceeds of an unlawful activity are

transacted, thereby making them appear to have originated from
legitimate sources. It is committed by the following:

a) Any person knowing that any monetary instrument or property

represents, involves, or relates to, the proceeds of any unlawful
activity, transacts or attempts to transact said monetary instrument
or property.
 Definition of
Money Laundering

b) Any person knowing that any monetary instrument

or property involves the proceeds of any unlawful
activity, performs or fails to perform any act as a
result of which he facilitates the offense of money
laundering

c) Any person knowing that any monetary instrument

or property is required the law to be disclosed and
filed with the AMLC, fails to do so.
 Definition of
Money Laundering
Under R.A. 10365, Sec. 4 of R.A. No. 9160 was
amended to read as follows:

Money laundering is committed by any person

who, knowing that any monetary instrument or property
represents, involves, or relates to the proceeds of any
unlawful activity:

a) transacts said monetary instrument or property;

b)converts, transfers, disposes of, moves, acquires,

possesses or uses said monetary instrument or
property;
 Definition of
Money Laundering

c) conceals or disguises the true nature, sources

location, disposition, movement or ownership
of or rights with respect to said monetary
instrument or property;

d) attempts or conspires to commit money

laundering offense;

e) aids, abets, assists or counsels the commission

of the money laundering offenses; and
 Definition of
Money Laundering

f) performs or fails to perform any act as a result

of which he facilitates the offense of money
laundering.

“Money laundering is also committed by any

covered person who, knowing that a covered or
suspicious transaction is required under this Act to be
reported to the Anti-Money Laundering Council
(AMLC), fails to do so.”
6) On the powers of the AMLC

Under Sec. 7 of R.A. 9160, AMLC has the following

powers:

(1) to require and receive CTRs from covered

institutions;

(2) to issue orders addressed to the covered institution

to determine the true identity of the owner of any
monetary instrument or property subject of a CTR ;
 Powers of the AMLC

3) to institute civil forfeiture proceedings;

4) to cause the filing of complaints with the DOJ or

the Ombudsman for the prosecution of money
laundering offenses;

5) to initiate investigations of covered transactions,

money laundering activities and other violations
of the AMLA;

6) to freeze any monetary instrument or property

alleged to be proceeds of any unlawful activity;
 Powers of the AMLC

7) to implement such measures as may be

necessary and justified under the law to
counter-act money laundering;

8) to receive and take action in respect of, any

request from foreign states for assistance in their
own anti-money laundering operations;

9) to develop educational programs on the

pernicious effects of money laundering; and
 Powers of the AMLC

10) to enlist the assistance of any branch, or

instrumentality of the government, in
undertaking any and all anti-money laundering
operations, detection and investigation of
money laundering offenses and prosecution of
offenders.
 Powers of the AMLC
Under R.A. 9194, Sec. 7 of R.A. No. 9160 was amended to
read as follows:

1) to require and receive covered or suspicious transaction

reports from covered institutions;

2) to issue orders addressed to the appropriate

Supervising Authority or the covered institution to
determine the true identity of the owner of any
monetary instrument or property subject of a covered
transaction or suspicious transaction report or request
for assistance from a foreign State xxx.
 Powers of the AMLC

Moreover, under R.A. 10365, Sec. 7 of R.A. 9160

was further amended to read:

The AMLC shall act unanimously in the discharge

of its functions :

x x x

6) to apply before the Court of Appeals, ex parte, for

the freezing of any monetary instrument or
property alleged to be laundered, proceeds from,
or instrumentalities used in or intended for use in
any unlawful activity;
 Powers of the AMLC

x x x

12) to require the Land Registration Authority and

all its Registries of Deeds to submit to the
AMLC, reports on all real estate transactions
involving an amount in excess of P500,000.00
within fifteen (15) days from the date of registration
of the transaction x x x.
7) On the Authority to Freeze

Under Sec. 10 of R.A. 9160, the authority to

freeze was granted to the AMLC which reads:

Upon determination that probable cause exists

that any deposit or similar account is in any way
related to an unlawful activity, the AMLC may issue a
freeze order, which shall be effective immediately, on
the account for a period not exceeding fifteen (15)
days xxx ”.
 Authority to Freeze
If it fails to act within seventy-two (72) hours from
receipt of the depositor’s explanation, the freeze order
shall automatically be dissolved. The fifteen (15)-day
freeze order of the AMLC may be extended upon order
of the court, provided that the fifteen (15)-day period
shall be tolled pending the court’s decision to extend
the period.

No court shall issue a temporary restraining order

or writ of injunction against any freeze order issued by
the AMLC except the Court of Appeals or the Supreme
Court.
 Authority to Freeze

Sec. 10 of R.A. No. 9160, was amended by R.A.

10167, which now read as follows:

“Upon verified ex parte petition by the AMLC

and after determination that probable cause exists
that any monetary instrument or property is in any
way related to an unlawful activity as defined in Sec.
3(i) hereof, the Court of Appeals may issue a freeze
order, which shall be effective immediately. The
freeze order shall be for a period of twenty (20) days,
unless extended by the court.
 Authority to Freeze

In any case, the court should act on the petition

to freeze within twenty-four (24) hours from filing of
the petition. If the application is filed a day before a
nonworking day, the computation of the twenty-four
(24)-hour period shall exclude the nonworking days.”

“A person whose account has been frozen may

file a motion to lift the freeze order and the court
must resolve this motion before the expiration of
the twenty (20)-day original freeze order.”
 Authority to Freeze
Sec. 10 of R.A. No. 9160, as amended by R.A.
10167, was further R.A. 10365 which now read as
follows:

Upon a verified ex-parte petition by the AMLC

and after determination that probable cause exists that
any monetary instrument or property is in any way
related to an unlawful activity as defined in Sec. 3(i)
hereof, the Court of Appeals may issue a freeze order
which shall be effective immediately, and which shall not
exceed six (6) months depending upon the
circumstances of the case: xxx”
 Authority to Freeze

Provided, xxx. In any case, the court should act on

the petition to freeze within twenty-four (24) hours from
filing of the petition. If the application is filed a day
before a nonworking day, the computation of the twenty-
four (24)-hour period shall exclude the nonworking
days.

No court shall issue a temporary restraining order

or a writ of injunction against any freeze order, except
the Supreme Court.
 Authority to Freeze
Sec. 10 of R.A. No. 9160, as amended by R.A.
10167, was further amended R.A. 10365 which now read
as follows:

Upon a verified ex-parte petition by the AMLC

and after determination that probable cause exists that
any monetary instrument or property is in any way
related to an unlawful activity as defined in Sec. 3(i)
hereof, the Court of Appeals may issue a freeze order
which shall be effective immediately, and which shall not
exceed six (6) months depending upon the
circumstances of the case: xxx”
 Authority to Freeze
Sec. 10 of R.A. No. 9160, as amended was further
amended R. A. No. 10927, which now read as follows:

“Upon a verified ex-parte petition by the AMLC

and after determination that probable cause exists that
any monetary instrument or property is in any way
related to an unlawful activity as defined in Sec. 3(i)
hereof, the Court of Appeals may issue a freeze order
which shall be effective immediately, for a period of 20
days. Within the 20-day period, the Court of Appeals
shall conduct a summary hearing, with notice to the
parties, to determine whether or not to modify or lift
the freeze order, or extend its effectivity.
 Authority to Freeze
R. A. No. 10927

The total period of the freeze order issued by the

Cout of Appeals under this provision shall not exceed
six (6) months. This is without prejudice to an asset
preservation order that the Regional Trial Court
having jurisdiction over the appropriate anti-money
laundering case or civil forfeiture case may issue on
the same account depending upon the circumstances
of the case, where the Court of Appeals will remand
the case and its records.
 Authority to Freeze
R. A. No. 10927

Provided, That if there is no case filed against a

person whose account has been frozen within the
period determined by the Court of Appeals, not
exceeding 6 months, the freeze order shall be
seemed ipso facto lifted: Provided, further, That this
new rule shall not apply to pending cases in the
courts. In any case, the court should act on the
petition to freeze within 24 hours from filing of the
petition. If the application is filed a day before a no
working day, the computation of the 24-hour period
shall exclude the nonworking days.
 Authority to Freeze
R. A. No. 10927

“The freeze order or asset preservation order

shall be limited only to the amount of cash or
monetary instrument or value of property that the
court finds there is probable cause to be considered
as proceeds of a predicate offense, and the freeze
order or asset preservation order shall not apply to
amounts in the same account in excess of the amount
or value of the proceeds of the predicate offense.
 Authority to Freeze
Sec. 10 of R.A. No. 9160, as amended by R.A.
10927, was further amended R. A. No. 11521 which
now read as follows:

“x x x ..
A person whose account has been frozen may
file a motion to lift the freeze order and the court must
resolve this motion before the expiration of the freeze
order.
No court shall issue a temporary restraining
order or a writ of injunction against any freeze order,
except the Supreme Court.
 Authority to Freeze
R. A. No. 11521

"(b) For purposes of implementing targeted financial

sanctions in relation to proliferation of weapons of
mass destruction and its financing, as provided
under Section 3(15), the AMLC shall have the
power to issue, ex-parte, an order to freeze
without delay.
 Authority to Freeze
R. A. No. 11521

"The freeze order shall be effective until the

basis for its issuance shall have been lifted. During
the effectivity of the freeze order, the aggrieved party
may, within twenty (20) days from issuance, file with
the Court of Appeals a petition to determine the basis
of the freeze order according to the principle of
effective judicial protection.
 Authority to Freeze

R. A. No. 11521

Provided, That the person whose property or

funds have been frozen may withdraw such sums as
the AMLC determines to be reasonably needed for
monthly family needs and sustenance, including the
services of counsel and the family medical needs of
such person.
 Authority to Freeze
R. A. No. 11521

"The AMLC, if circumstance warrant, may initiate

civil forfeiture proceedings to preserve the assets
and to protect it from dissipation. No court shall issue
a temporary restraining order or a writ of injunction
against the freeze order, except the Court of Appeals
or the Supreme Court."
8) On the Authority to Inquire into Bank
Deposits

Sec. 11 of R.A. 9160 provides that:

“Notwithstanding the provisions of R.A. No. 1405,

as amended; R.A. No. 6426, as amended; R.A. No. 8791,
and other laws, the AMLC may inquire into or examine
any particular deposit or investment with any banking
institution or non-bank financial institution upon order of
any competent court xxx.”
 Bank Inquiry
Sec 11 of R.A. 9160, was first amended by R. A. No. 9194
which reads :

“x x x, when it has been established that there is

probable cause that the deposits or investments are
related to an unlawful activity as defined in Sec. 3(i)
hereof or a money laundering offense under Section
4 hereof; except that no court order shall be required
in cases involving unlawful activities defined in Secs.
3(i)(1), (2) and (12)”.
 Bank Inquiry

R. A. No. 9194

“To ensure compliance with this Act, the Bangko

Sentral ng Pilipinas may inquire into or examine any
deposit or investment with any banking institution or
non-bank financial institution when the examination
is made in the course of a periodic or special
examination, in accordance with the rules of
examination of the BSP.”
 Bank Inquiry
R.A. 10167 further amended Sec 11 of R.A. 9160 which
now reads :

xxx the AMLC may inquire into or examine any

particular deposit or investment, including related
accounts, with any banking institution or non-bank
financial institution upon order of any competent court
based on an ex-parte application, when it has been
established that there is probable cause that the
deposits or investments, including related accounts
involved, are related to an unlawful activity;
 Bank Inquiry

R.A. No. 10167

No court order shall be required in cases

involving activities defined in Sec. 3(i)(1), (2), and (12)
hereof, and felonies or offenses of a nature similar to
those mentioned in Sec. 3(i)(1), (2), and (12), which are
punishable under the penal laws of other countries,
and terrorism and conspiracy to commit terrorism as
defined and penalized under R. A. No. 9372
 Bank Inquiry

R. A. No. 10167

‘Related Accounts’ shall refer to accounts, the funds

and sources of which originated from and/or are materially
linked to the monetary instrument(s) or property(ies)
subject of the freeze order(s).”

A court order ex-parte must first be obtained before

the AMLC can inquire into these related Accounts.
 “The solicitor’s role as a gatekeeper in
preventing money laundering is not limited to
carrying out formal identity checks. It is of
much greater importance that members of the
legal profession act with honesty and integrity
when implementing the statutory obligations
imposed upon them by the proceeds of crime
legislation…”

- Lord Tyre, Judge at the High Court in Edinburgh,

speaking at the trial of Solicitor Richard Housley on 6
March 2013
Dean Sergio M. Ceniza